Question

If the cost of producing the product that sells for $25.00 is $60,000.00 plus $5.00 per piece, then how many products must be sold to breakeven

Answer 1

3,000 pieces

Explanation:

we know that

Break even is when the profit is equal to zero

That means

The cost is equal to the revenue

Let

x ----> the number of pieces

Equate the cost and the revenue

`25x=60,000+5x`

solve for x

`25x-5x=60,000\\20x=60,000\\x=3,000\ pieces`